Hi Ramsey, <<why chl and chu?>> decision is allocation driven, given they are China plays, telecom tainted, making cash, paying div (CHL);
<<competition is going to be fierce>>
Yes and no, given that there are 260 million subscribers signed on and no matter how churned, plenty to share, and price competition is nothing like what takes place in other parts, whereas useage will keep going up as long as economy holds trajectory.
<<cap ex stages long from over>> ... yes, but capex per line-equivalent cost continues to drop, and when Chinese manufacturers get in on the act of GSM infrastructure manufacturing, capex cost will drop even more.
GSM network coverage in China is exceedingly good already. I have never been out of touch even while floating between the cliffs of Yangtzi river or travelling between any two cities by road, and I have never experienced a busy line or dropped call. Or, at least not yet:0)
I will make a trip starting the 27th to Chengdu, possibly Lhasa, back to Chengdu, and then definitely Chongqin, and between Chengdu and Chonqin by 5 hour car trip, will report on coverage.
<<2 new spectrum licenses (or more) most likely soon>>
... good luck to the newbies;0)
<<seems like the vendors such as Huawei, ZTE etc could do better>> ... manufacturing may be a mugs game in China where the practice of death-level discount is pervasive.
Chugs, Jay |
